Bitcoin Reclaims $108,000 But Faces 5% Resistance

Bitcoin's price rebounded from last week's lows, reclaiming $108,000 ahead of the new week, which boosted market sentiment and prompted investors to return to the table. However, as the price continues to sit in the green, one crypto analyst has sounded the alarm that the Bitcoin price may be headed for another crash toward the support area close to $100,000.

According to the TradingView analysis, the reason for the potential Bitcoin price dump is mounting resistance. As the leading cryptocurrency moves toward new all-time highs, there is a possibility of a pushback before it can continue its rally. The analyst expects the Bitcoin price to keep rising but sees significant resistance just above $109,000, specifically at $109,500. This resistance could cause the cryptocurrency to dump back downward, even though it is still a ways away from the $112,000 needed to create a new all-time high.

This stiff resistance opens up an opportunity for market shooters to enter into the trade. According to the chart, it is possible for the Bitcoin price to actually move toward the low $100,000s. Currently, there is major support at $102,500, and if the digital asset does lose its footing, this is likely where the bulls will stage their recovery once more.

Another crypto analyst, Riscora, has supported this move with their own analysis, also predicting that a pullback is possible from here. This still boils down to mounting resistance as the Bitcoin price moves toward the possibility of reaching a new all-time high, and budding liquidity rises at the lower levels. The analyst explains that as liquidity has now been taken in the higher levels, after Bitcoin hit $108,000, there is bound to be a correction. This time around, they expect the correction to be much deeper given the recent bullish impulse move. The target from her sis a move back into the $107,000 territory, before moving further downward to take on the $106,400 support.

Despite the expectation of a price dip, the analyst warns that the Bitcoin price remains overall bullish from here. As the crypto market ushers in the month of July, which is usually bullish for Bitcoin, it is possible that the cryptocurrency does put in a new all-time high this month, seeing as there is less than a 5% move left to beat its current $111,900 peak.